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If we are not rich, don't act rich!

Thursday, January 10, 2013

We are familiar with excuses. 

We hear them all the time and, sometimes, we also make some. 

I am being honest. 

Yes, sometimes, I make excuses.

"I cannot save money because I don't make much."

Heard this before?

We have to earn money and save money. 

Basically, that is the way most of us start building up our wealth. 

For those lucky enough not to have to do that, skip to the next step which is to invest. 

Of course, there are those who are extremely lucky who don't need to invest but if you are reading my blog, I don't think you belong to this group of people.

Anyway, this blog post is off the cuff and if you have friends or family members who are not saving money, justifying their inaction by saying they make too little, send them the link to this blog post or share this in any social media, whichever you find easier.

Now, this may sound jaded as I have said it before many times and that is we should run our lives like we would run a business! 

We must try to contain costs and increase revenue!

Contain costs? 

Yes, what do we spend our money on? 

Are they needs or wants? 

If they are wants, cut them immediately. 


If they are needs? 

Are there any cheaper alternatives which do the job just as well?

If we were always going to Starbucks et al for our coffee fix, we could start by bringing a packet of 3 in 1 coffee mix to work every day. 

That's coffee too and I think that would set us back by 20c a day instead of $5 (I don't know how much Starbucks coffee costs and this is just an educated guess)! 

Doesn't sound too difficult, does it? 

Don't brush it off! 

Savings add up especially if we do it in every aspect of our lives!

The worst type of costs is the type we really have great difficulty escaping from due to bad decisions leading to long term commitments. 

Can you think of some?

Here goes. 

Just because our friends or family members have a car (or two) or a condo (or two), it does not mean that we should have them too. 

Just because our friends or family members are married and have two or three children, it does not mean we should do it too. 

Always think carefully, plan ahead before making such huge commitments. 

They could really haunt us later on, otherwise.

For anyone, especially those who have trapped themselves into huge, longer term expenses which they cannot easily escape from, who says they cannot save money because they don't make much? 

Ask what is the logical thing to do? 

Increase revenue!

Increase revenue? 

Yes, find ways of making more money. 

Unless we are severely handicapped mentally or physically, there is no excuse for not being able to make more money in a country like ours where opportunities abound! 

Often, people are just lazy or picky.

There are a few well known bloggers who are private tutors by night. 

I even know a blogger who was a DJ by night! 

I know someone who helps out in his family's chicken rice store on weekends and I have a friend who sells her cakes and cookies to friends who appreciate them.

In case you are wondering, all of them have day jobs and have about the same amount of free time as any other person with a day job, everything else being equal. 

They have a choice on what they would do with their free time just like anyone else.

Please choose and choose wisely.

Once we are on this journey of containing costs and increasing revenue, we should naturally be saving money. 

A pertinent question to ask is how much should we save? 

Personally, I have been asked that before by many people and I always tell them that if they do not feel that they are sacrificing something in the process, they are not saving enough. 

Remember the Starbucks coffee example earlier?

We can do it!

Of course, "sacrifice" is a subjective concept. Someone might think that sacrificing Starbucks coffee for coffee from a neighbourhood coffeeshop is enough. 

Well, there is still savings, I reckon. 

I am not dogmatic when it comes to details. It is the concept that I want to share. 

It is the spirit I wish for every person to embrace.

Perhaps, what is most important to remember is this:

If we are not rich, don't act rich! We have to work harder to save money because we are not rich! If we act rich when we are not, we will never be rich!

For more blog posts on the topic, please refer to the right side bar and look for the box titled "Wealth Creation: Earn and save."

"When you do these things, people assume you are an intelligent, important and responsible person."

I guess I know why some stock market gurus like to show off their expensive purchases now.

LOL! Oops.

Bad AK! Bad AK!

Related posts:
1. Not enough money to be married.
2. Rich Dad, Poor Dad: 2 are better than 1.

This could interest you:
The Richest Man in Babylon & the Magic Story: Two Classic Parables about Achieving Wealth and Personal Success

The Richest Man in Babylon is a story of Arkad, a person of humble origins who became the richest man in Babylon. Discover the attitudes and behavior that bring wealth and happiness.

The Magic Story is a story about Jay who saw how his once struggling friend became a man of achievement. Find out how his friend did it.


la papillion said...

Hi AK,

I like such post. It gives a lot more power to yourself if you say that you can change your own circumstances, rather than say you're a victim of circumstances and do nothing about it.

It's the Have-Do-Be vs Be-Do-Have mentality. Some people believes that only by earning more (have), then they can save more (do) and then become financially savvy (Be). In fact, it should be the other way around. We should become a person who has great financial control, thus (Be)ing savvy in financial matters, then earn more/spend less to save more (Do), and finally Have more money.

If you can't save a penny when you have a dollar, what makes you think you can save a dollar when you have a hundred? It takes practice and effort to make a difference. It's all too easy to say you can't change this or that. I leave readers with a quote:

"If it is important to you, you'll find a way. If not, you'll find an excuse"

AK71 said...

Hi LP,

I agree wholeheartedly! If we want something badly enough, we will find a way! :)

This comment has your signature all over it! We should be savvy, earn more, spend less and have more money. You say it so well too. :)

Don't mind me but I am pasting a hyperlink to one of your classic blog posts which I have found to be very inspirational. This is a must read: The 50K game.

EY said...

Hi AK,

A very inspiring exchange between you and LP!

I'm a strong proponent of building up reserves (even though I'm not good at it :P). Applying Maslow's Hierarchy of Needs, motivation for savings should indeed go beyond satisfying our safety needs like creating a buffer for rainy days, or esteem needs like buying big ticket items (assets included) that make us feel good. Saving an 'impossible' amount of money can help to meet our self-actualisation needs of bringing out the best in us! It can reinforce many positive self beliefs that will have spill over effects. The way I choose to look at it, frugality can very much contribute to one's spiritual development. :)

All being said, the key is to manage desires and delay gratification. Personally, I tend to think that women have a bigger challenge to overcome. Beauty is the biggest trap! I believe many of us think that youth can't be bought with money and we need to live 'in the now'! Meaning that, we need to buy XX because it would only look good on us now and we won't be able to carry it off when we are 50 years old. This is very real, okay! So a more convincing rhetoric for us would be about finding better bargains and not about cutting our spending mercilessly by not buying at all! Hahaha.


coconut said...

hey AK! i don't agree with the "marriage and have children" part le.

whether we are rich or poor, we should try our best to have a family and children of our own, hows that?

also, most people can't save cos they spend too much relative to what they earn, they spend too much on expensive stuff and spend too little (or try to save) on cheap stuff. if they do the opposite, they will be "richer".

if one is to increase their saving, first is to cut on the most expensive item, then down to the least expensive one.

anyhow, good post.

Ray said...

Although I agree that there are people who spend alot on luxury items that they only want, but not need, there are still people who really only make ends meet and hence cannot afford to save much.
And sometimes circumstances (mostly family related) don't allow them to upgrade themselves to earn more. But in singapore, these people fall below any safety nets.

YH Tan said...

Hi AK & LP,

Totally agreed with you guys but sad to say we are the few odd one.

YH Tan

AK71 said...

Hi Endrene,

"..frugality can very much contribute to one's spiritual development.." This is a fresh perspective. It is very profound, at least to me. :)

As for your statement on how ladies have a harder time delaying gratifications because youth is transient and therefore beautiful things must be worn while we are still young, it applies to guys too!

I have a friend who keeps saying he hopes to own an Audi TT before he becomes too old. He says he always feels sad for the old men behind the wheels of sports cars. The cars are sexy but the drivers are not! ROFL!

AK71 said...

Hi coconut,

The easier bit first. ;)

Penny wise, pound foolish! I know people who would sweat the small stuff and lose on the big stuff. I am sure we can find examples easily.

Now, the more sensitive bit. ;p

Firstly, whether we can see eye to eye on whether poor people should get married would require us to agree on the definition of "poor". ;p

Personally, I see marriage as a form of gratification. If we cannot afford it, we should delay it. Don't you agree?

If we buy something we can ill afford, our quality of life will suffer. In this case, if we get married when we can ill afford it, it is not just our quality of life that suffers, we are also imposing such suffering on our spouse and children.

Of course, we can try our best to make up for things after we are married. However, there is no guarantee that something bad might not happen along the way.

Satisfying the desire to be married without adequate financial resources means to live with such uncertainties and be at the mercy of Lady Luck. To say nothing of wisdom, I do not feel that this is a responsible thing to do.

coconut said...

no wonder we have population crises. i bet you are still single and in no hurry to get married?

oh AK!

AK71 said...

Hi Ray,

Long time no hear. How have you been? :)

I agree with you that there are people whose difficult circumstances are not of their own doing.

I actually know someone who is supporting his penniless parents who require frequent medical treatments (his dad needs kidney dialysis 3 times a week), his brother who makes little money but spends a lot more and a sister who is some 15 years younger than him who is still in school. All of them stay in a HDB 5 room flat which he is servicing the mortgage for. How can he save any money?

His parents were never well off. They spent what they made. Of course, they were not financially savvy and could never have taught their children to be so. Sigh.

Everyone has the ability to make more and save more money unless they are severely disadvantaged in some ways.

AK71 said...

Hi YH Tan,

I certainly hope we are not the odd ones. Then, again, if everyone is like us, the economy would go the way of the Dodo. ;p

SnOOpy168 said...

Having a nudge from good articles like this, to put on our thinking cap, is really appreciated.

Are the latest LV Coach 包包, SKII (whatever other glam brands), skin care products and all - really needed ? I think it is women's vanity & better-than-her's ego that are their worse enemy. 人比人比死人

To think about it , our mother's time, there isn't this much complicated stuff beyond that power cake and lip stick, which she used sparingly.

Then there are those hyped up products like oxygenated or diamond waters and such. Really beneficial meh ? Ok, removing the impurities from water due to older water pipes, yes, diamond / hyflux water filters or their kinds to do the job. Seriously, if you look closer, they are just rebranded stuff from certain factories. I am using one identical UK-made items, for about 1/5 the cost. Bought from a counter within a departmental store, not a speciality shop.

I am not a holy man here. Just reignited my passion for photography, I have been buying 2nd hand stuff regularly. From the latest Canon 5D Mk3 to the 70 years old Zeiss Ikon rangefinder camera (very good condition and made good) pictures. Just picked up a East German made camera with lens for a song (ok, it's about S$50). The dry cabinet is almost full. Can I stop and save the $$ for the reserves fund ? Er.....

Kids & marriage..... well these are points of no return. Especially kids, unlike a car, one simply cannot cut-loss or walk away from it (absolutely irresponsible). I am still echoing my friend's concern about the S$1m+ price tag that his young kids may face, when it is their turn to buy a HDB. Those already 2 foot into this, can only move forward and defend their position as such - the "you singles, still don't know what you are missing in life (yes, I think we called it "loss of freedom") No problem, there are always 2 side of the coins. Perhaps it is a case of 船到桥头自然直。

Paying ourselves 1st before paying the bills (if it is not deep in debt) is a good idea for reserves building. Minimum sum, rebalancing of portfolio, take profits etc etc.

Decisions decisions decisions.

AK71 said...

Hi coconut,

Indeed, we have a population crisis. Singapore is overcrowded! ;p

OK, I know what you are trying to get at and you are right that I am in no hurry. All in good time, I say.

A university professor of mine got married when he was in his early 50s! I was wondering how his daughters were so small when he was already almost 60. :)

Anonymous said...

Hi AK,

Don’t act rich in terms of money if you can’t, but it’s okay for behavior? I am a firm believer of that ;)

People buy TOTO and 4D trying to get rich. They say they will stop buying when they strike the top prize. They don’t realise that the rich don’t become rich because they buy TOTO, but they became rich because they don’t.

The less well-off needs retail therapy too, but the problem is that they spent money on useless things because they can only afford those. $0.50 for a lousy torchlight, $1 for a pair of scissors that can’t cut well, $2 for a weak screwdriver, $3 for a clothes hanger. And when these things breaks after 1 week, they comfort themselves by saying it’s only $1. I suppose the rich will just keep the $1 instead.

It’s poor habits lah. By the way, I am not rich monetarily, in case I sounded “hao lian”.

Anonymous said...

Oh, I forgot about the coffee fix you talked about. I started a 365 days caffeine free trial last year.

I went from one cup of coffee/tea per day in 2011 to less than ten cups in the entire year of 2012. Now, I dont' feel tired or restless even drinking plain water the entire day. I am going to knock those who tells me it can't be done :)

EY said...

Hi AK,

Marriage as a form of gratification? Wow. You are looking at it in totality or just certain aspect huh? :P


mark said...

My parents (knowing my typical character) advocate companionship vs marriage and kids.

The latter is just... 'bad for business'. Yet, they dont want to see me old and single without anyone around. ie, Old and Alone.

I will keep my personal opinion on whether I want kids or not, personal. One thing is for sure. I dont want to have kids in this country.

Okay I am so gonna get flamed now. :P

mark said...

Btw my company has its own coffee machine. And milk in the fridge. I have been tempted to bring the cartons home on Fridays because they are always left overs and on monday when the milk man comes, they throw the old ones away. what a waste.

That doesnt stop me from having my own nesspresso machine with a cuppa on the way to work. Everyone thinks im queer sipping my coffee otw to work. oh well

AK71 said...

Hi SnOOpy168,

Thank you for the very thoughtful comment.

All of us have vanity and ego issues, some just have them worse than others. I have my issues too. 100%. ;p

With regards to your hobby in photography, all of us have hobbies. I think we need hobbies. It is definitely not a want! The decisions we make as we spend time and money on our hobbies are of material significance. Well, you buy second hand equipment and accessories, for example. That saves money. Good on you. :)

The qualification here is whether we can afford the hobby. If we can ill afford it, well, we can't have it.

As for marriage and kids, these are issues people tend to get very emotional about. However, like with everything in life, I like to stay pragmatic.

With stocks, I don't believe in being overly bullish or bearish. I believe in being pragmatic. With marriage and kids, I don't believe in being optimistic or pessimistic. I too believe in being pragmatic. :)

SnOOpy168 said...

Happy Pork Belly. Good of you to give up caffine, almost totally.

Not a coffee drinker myself but was ticked by the Nesspresso system. Bought their entry level machine in Europe, and saved almost 60%+ (vs sg $) after VAT refund & those EUR50 free coffee vouchers. Now can enjoy my S$0.48 (before milk & sugar) cuppa of any 16 flavours as and when I wanted to. I think is better than Starbucks, sans the show off or be seen factor.

AK71 said...


If you mean we should learn from the behaviour of the truly rich, yes, I agree with you.

This is why I have put a link to the book "The Richest Man in Babylon" at the bottom of this blog post. Readers who are interested in learning why the rich are rich because of their approach to wealth building and their attitude towards wealth could find it interesting. :)

Congratulations on ending your addiction to coffee! Apart from being healthier bodily, you are also healthier financially!

If HPB can do it, so can the rest of us! ;)

Ray said...


I'm doing ok. My 7mth baby boy is sick recently so have been a busy and worried father :)

Financially, REITs are giving me a pretty nice (paper) gain these days but don't really want to cash in now. But today REITs are having a slight correction for some reason... maybe can sell now and collect later? :D

With regards to getting and married when you have no money yet, well I used to think like you. I believed that if you cannot guarantee your wife and child(ren) a certain comfort level in terms of lifestyle (and I'm don't mean luxurious one) I believe you really shouldnt get married. But I have a very young relative who, ah-hem, managed to have a son before he got married to the girl... although neither of them are financially stable, they decided to keep the child (Thank goodness) and they are currently living with parents and working hard to make an honest living. Their child is a bright, cute boy and I must say this defies the conventional thinking that you and I had (well, for me is past tense but for you maybe you should be "have").

So i guess, it is quite possible to have a family before you have any financial stability. My dad got married and had me before he got any sort of savings. I know that's like 30 + years ago but life's sometimes really about living for the present and not worry unduly about the future. Well enough of my ramblings... hope I've been making sense. lol

AK71 said...

Hi Endrene,

It is open to interpretation, I suppose. Like a good poem, readers see what they want to see. ;p

AK71 said...

Hi Mark,

I think there are ample examples of old folks in Singapore who have children but remain lonely anyway, if you know what I mean. There is just no guarantee that having kids means we would not be old and lonely. Anyway, like you said, it is "bad business". ;)

Hey, you make your own coffee! You save yourself a bundle over time. Let people look! :)

AK71 said...

Hi Ray,

I hope your boy is much better now. Babies falling sick can be a very serious matter if not taken care of properly as they are so fragile.

As for REITs, well, there is nothing wrong with taking profit, I always say. It is really up to you. Do you think the valuations are rich? What kind of yields would you be giving up? Did you buy these units for income or capital gains? That kind of stuff. ;)

I am happy to hear that your young relative is experiencing marital bliss and I certainly wish them the very best of luck because I have no doubt that they need Lady Luck to smile on them. :)

Life, I feel, is stressful enough without having to leave more things to chance.

Ray said...

come'on guys...when it comes to family, it's beyond dollars and cents (or business). Sure, you cant guarantee that your kid will care for you and many parnets I know would rather admit themselves to some retirement village overseas than to burden their children who are making ends meet in this cut-throat society. But truth is, if you nurture and educate your children well, they should grow up responsible children. And if they are responsible, I'm sure they will know how to give back the same love you showed them. my two cents.

AK71 said...

Hi Ray,

Hahaha.. You make me feel like getting married today and to have a baby by end of the year! ;p

It is definitely a very emotive topic, isn't it?

Well, Mark isn't against having children. He just doesn't want them in Singapore which is understandable but also questionable, I don't doubt.

In a country with very high costs of living like Singapore, it is hard not to think of the whole matter in dollars and cents.

Like what Goh Chok Tong said before, if we are well off and can afford to have more children, please do! Even he recognised that being well off is important if we want to have more children. :)

Ray said...

Oh ya, I do agree having children in SG is very difficult.I also feel that the govt keep asking us to give birth! give birth! is simply irresponsible. They want us to have more children? Then make everything more affordable! BabyBonus? Don't make me laugh. That few thousand dollars? Not even enough to cover 1 year of infant care.

What's so different between our generation and the previous one? Back then, mothers usually don't have to work and they have help from their mothers and mother-in-laws who mostly don't have to work either. Back then, life was affordable, houses are cheap. People can get by with single income. Now? Both parents are all working, grandparents cannot afford to retire and must work till they die. What? they choose to work because they are bored at home? Govt really think we are daft..

So if grandparents can't help, what choice do we have? Infant care/ baby sitters are getting so expensive and what's more putting children in infantcare means they come home sick often, which translates to high medical fees. End of the day, mothers may have to quit their job and stay home to take care of children. Lost of one major income, decreased savings. Without enough savings, how many children can we afford knowing that we need to fork out alot of money to send them to universities? In other countries, education is free including universities but in Singapore? U're on your own. So want Singaporeans to have more children? then stop fooling yourself thinking that baby bonus is enough. Life here is far too expensive to have that many children.

So, migrate and have children overseas maybe? :) Which country is the best for retirement? Yahoo Singapore list our neighbour country Malaysia as one of them. Maybe we can consider.

Anonymous said...

Hi SnOOpy168,

Actually I still like coffee and tea. It's just a test to see if I can live without them.

The Nesspresso system sounds more econmical then buying from coffee shops! I heard that the cost of a cup of Starbucks coffee is about 30cents. Fantastic earnings :)

Got to stop at here if not AK's post will become coffee talk...

AK71 said...

Hi Ray,

A very eloquent outpouring from the heart! I can feel it and I hope someone important enough from the government reads this comment! Er.. any one of you know where to put a link to this blog post so that this can happen? ;)

Yes, Singapore is too expensive for many of us. More and more people I know have moved or are moving to stay in J.B. :(

AK71 said...


Well, both Mark and SnOOpy168 are happily making their own coffee daily and saving bundles! The coffee making machine pays for itself, it seems. I like the idea! :)

3 in 1 coffee works for me but not everyone can stomach it. I wonder why? ;p

OK, maybe I will have to start a companion page to "Tea with AK71". "Coffee with AK71" sounds more atas!

SnOOpy168 said...

HPB - a friend of friend will be going into the coffee take away business @ a CBD outlet. Opening soon. He mumbled that each take away costed no more than S$1.50, incl rent, labour etc. Wahhhhh....I rather be the one collecting the rent than to stand there hours to face impatient customer. Thats why I am so happy into REITs.

@AK - permit me to show off a little here with this. The entry level Nespresso machine costed EUR108 incl VAT, comes with EUR50 of capsules coupons, with I redemmed at their boutique. Had to top up like EUR 4.xx to round up the nearest 10cap pack of X'mas special coffee. Total, i took about 180 caps back.

Anyway, my made-in-switzerland machine now costed EUR58. There is a cheaper version but MIC, which I rather not have & risk. Then got another EUR15 VAT refund at the airport. The nesspresso machine is now EUR43 or about S$68.80. Cheaper than the Aikra coffee machine. Heard CKTangs asking for over S$300 for the same model. No ? Hehehehe.

Shhhhhh.... this purchase in Dec was meant as a house warming gift for a special someone in May or June. ^-^ I

@Mark's parent advocate companionship vs marriage and kids. I share the same standing with them. After decades of hit and misses on BGR, plus my mom & (dad) did not get to spend time watching the grand kids grow up.... my mom had finally relented to this idea. My other half was told of this, before we started going together, NO KIDs, or else no start of this relationship. I don't want any "will try to change you later" thingy flying around me later. I am already into my 40s. Add another 25 years taking care and funding this brat, I will be 65++ and if there are any energies & $$$$ left for my retirement & medical bills. It is ask if we had not sufficient stress and headace from work (hey, it's so bad that they pay us to do work leh). Plus, I still have loads of places not visited or things not done.....

Ok ok, Ray and other parents-qualified readers may or will disagree. Treat this as different POV. You are welcomed to live the lifestyle that you choose. So do we. Nothing wrong or needs fixing here....

Just had another Nesspresso while listening to Il Divo's latest album.... have a good weekend. ^-^

AK71 said...

Hi SnOOpy168,

You guys are really tempting me with this Nespresso talk! I was given a $500 Tangs Gift Card from UOB last year and it is expiring in a few months! OK, maybe, I can buy this coffee machine. ;p

SnOOpy168 said...

AK - wasn't too long ago that I spotted some credit card company having a promo with the Nespresso. Perhaps you can get a better deal this way.

Looking forward to welcoming you to the Nespresso Club soon. ^-^

AK71 said...

Hi SnOOpy168,

Actually, I am not big on coffee. Hmmm... Maybe I will just buy 25 packs of boxers. ;p

Don_Jerome said...

I think the key is to think for yourself. I believe the large majority of people follow the crowd when they do things, for eg at this age everyone has a gf/bf so I should have one, or everyone is getting married at 30 so I should get married too. That's when they get into trouble. Perhaps at 18 your friend is emotionally mature to manage a healthy relationship, but you are not, hence getting into one is good for him but bad for you. I have friends who get married immediately after graduation and lead a very frugal life to save for their house and child. I think that works very well for them. They get a house earlier, which protects them against housing inflation that unmarried ppl like me deal with. I, on the other hand, decided that I want to have a margin or safety before marriage, also I know that I'd like to take a few years to try out the stock market and forex to see how far I can go. Marriage for me would be foolish indeed as I would be risking my family's financial future with my decisions.

For kids, i think it is up to an individual to decide if it is important to be financially able to bring up a kids in this environment. Poor kids can to be very driven to succeed and rich kids tend to be more laid back. On the flip side poor kids can end up as social problems and rich kids can make use of the opportunities they are afforded to make themselves outstanding people.

haha, my two cents worth for sharing...

AK71 said...

Hi Jeremy,

Thank you for this very balanced comment as you consider the perspectives of two possibly opposing groups.

Indeed, there are pluses and minuses to any decision we should make. When we make a decision, we should be well aware of what we are getting ourselves into and if we are cool with the possible consequences, well, we only have ourselves to answer to.

What you have shared is definitely worth much more than 2 cents. :)

Musicwhiz said...

Hi AK71,

To be able to save effectively and live a relatively spartan life, one must manage his expectations. Life is all about expectations - the Straits Times recently mentioned why people cannot find a spouse - due to excessive expectations for the "Perfect" mate.

In personal finance, we should also moderate our expectations in order to be able to save and invest. If one always hankers for an Audi or a BMW, how to save properly? You are already spending tomorrow's money to live your dream. Ditto for luxury bags and goods.

I am happy with my HDB 4-room flat and having no car, and contentment is one way to ensure one does not spend too much. Why spend on things which make others happy? You should have your own benchmark for happiness - for me it is time with family, enjoying simpler things in life (music, walks, window shopping, occasional good meal), yet being able to save and grow my money.

So, expectations and contentment - those are the key to managing one's finance.

AK71 said...

Hi MW,

Indeed, moderating our expectations and attaining contentment are necessary ingredients to a simpler and happier life. However, are they sufficient? That would be a lot harder to answer. :)

Having said that, you are another example of how a combination of financial prudence and investment savvy would lead to better financial health in the longer term. No question about that.

Thank you for sharing your own story. Much appreciated. :)

AK71 said...

AK says...
The worst type of costs is the type we really have great difficulty escaping from due to bad decisions leading to long term commitments.

AK71 said...

Ben said...
At one of the employers which I previously worked for, I had one colleague who spent $30 plus for breakfast, $50 plus for lunch and $100 for dinner. That's a wholesome almost $200 plus per day. When I asked him on the rationale of spending so much for meal in a day, he indicated that the standard of the food is superb with the price. He does not fancy himself eating at the hawker centre which is considered as a disgrace to him.

The above circumstance makes me think whether it is worthwhile to spend that much on a day. This colleague spent this amount every day. This will add up to almost $5,000 per month. This is not to include the car which he drove and the monthly instalment which he had to service. By the way, he is living in the condominium which is said to be $1.5 million. He also enrolled his four kids to the atas enrichment classes.

AK said...
Mind boggling!
I hope his income is a lot higher than his expenses.
Or else, acting rich, using credit to fund our lifestyle will usually end badly.

AK71 said...

Cheong Woon Yeo says...
can see him becoming bankrupt in a few years time.. smh

Loke Oilin says...
Wow I am very disgraceful then as I always eat at hawker centre

Kor Chin Wee says...
Thats quite crazy spending. Crazy Rich Asians

Raymond Ng says...

Matthias Mar says...
I wonder what we can get for $30 for breakfast - I assume he’s working fulltime so nidda swallow $30 breakfast ASAP before the rush hour to work

Augustine Lim says...
For me his 200 a day meal is my one mth meal expenses

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